perfect example is AUSTRALIA.
house prices are at record levels, was at the highest in the world at one stage.
government intervention into the market - for an economy/country obsessed with real estate - made it far worse.
currently fighting a global recession, and pandemic.
experiencing a construction material shortage - with depenance on China - little to no AUS manufacturing.
currently at record level interest rates - lowest ever.
government intervention constantly makes it worse.
corporate intervention/investment amplifies this.
currently, majority of seniors own multiple homes.
new/ first home buyers cannot afford this.
the econonomy depends on housing sales/ construction.
the tax from it, funds the nation, no joke.
VICTORIA - 60% of their state economy comes from housing directly.
THE REST - taxes, fines (speeding etc), etc
Super annuation - 401k AUS version
heavy invested in real estate - the average fund - 60%+ real estate/ the remainder shares.
These corporations buy up the houses, prices go up, as supply goes down.
In turn, super funds/401k gets a higher return for its investors.
The average person falls to the debt trap trying to buy a home for their family, supply goes down.
prices go up.
Corps buy again, above rate, raises prices, cycle repeats.
THE PEOPLE ALWAYS LOSE.
this is just a BRIEF example of how it works. the real run down ... looks like that Q flow chart ... its sickening ...
perfect example is AUSTRALIA. house prices are at record levels, was at the highest in the world at one stage.
government intervention into the market - for an economy/country obsessed with real estate - made it far worse.
currently fighting a global recession, and pandemic. experiencing a construction material shortage - with depenance on China - little to no AUS manufacturing. currently at record level interest rates - lowest ever.
government intervention constantly makes it worse.
corporate intervention/investment amplifies this.
currently, majority of seniors own multiple homes. new/ first home buyers cannot afford this. the econonomy depends on housing sales/ construction. the tax from it, funds the nation, no joke. VICTORIA - 60% of their state economy comes from housing directly. THE REST - taxes, fines (speeding etc), etc
Super annuation - 401k AUS version heavy invested in real estate - the average fund - 60%+ real estate/ the remainder shares.
These corporations buy up the houses, prices go up, as supply goes down. In turn, super funds/401k gets a higher return for its investors. The average person falls to the debt trap trying to buy a home for their family, supply goes down. prices go up. Corps buy again, above rate, raises prices, cycle repeats.
THE PEOPLE ALWAYS LOSE.
this is just a BRIEF example of how it works. the real run down ... looks like that Q flow chart ... its sickening ...